What happens if you don’t renew Office 365?

Microsoft Office 365 is a fantastic subscription-based service. However, because these services rely on the successful continuation of a subscriber’s subscription, it may be useful to understand Microsoft’s procedure when a subscriber cancels their services.

Once the subscription has expired, the Office applications will enter a “read-only limited functionality mode,” which will restrict their operation. Users will be able to read and print documents, but they will not be able to create new documents or modify existing ones due to this restriction.

Many Microsoft 365 subscribers question whether or not it’s worth it to renew their subscriptions. If you’re on a tight budget, cutting your Microsoft subscription shouldn’t be one of your options. If you don’t renew Microsoft 365, here’s what happens:

What happens if I don’t renew Microsoft 365 subscription?

If your membership terminates, either because it has expired or because you elect to cancel your access to Microsoft 365 services, apps, and customer data will pass through several stages before the subscription is completely turned off or destroyed. 

When a company fails to make a payment for Office 365 or cancels the subscription, the apps and data are not instantly deleted. As a substitute, Microsoft walks a client through a three-stage procedure that gradually reduces both employee and administrator access while leaving the door open to renewal for several months.

By being aware of this process, you will be better prepared to restore your membership to its active status before it is too late.

When Saving Money Costs You Money

Anyone who is a savvy company leader wants to reduce the amount of money wasted in their firm. The emphasis, however, should be on the word “unnecessary.” Cutting expenses should be avoided at all costs since doing so may impair your capacity to provide high-quality products and services to consumers or work with partners.

Business clients benefit from Microsoft 365 because it provides them with a complete set of apps and services that help them improve operations, operate more effectively, and ultimately provide better service to their customers. You will be able to do excellent business activities, collaborate with other people, protect your data, and be more productive thanks to web-based versions of the Microsoft Office suite.

If you decide to cancel Microsoft 365 (formerly known as Office 365), you will lose access to your Microsoft 365 services, apps, and client data. On the other hand, this access does not cease immediately: After then, the subscription is deprovisioned, and the procedure is repeated until the subscription is completely shut off.

Step 1: Expired

Under the ‘Expired’ header, the procedure starts. This is just a free month since you get access to everything till the next period begins. 

However, it means you’re still able to use all of the features that were part of your subscription, as all of the Office 365 applications and services. Additionally, Microsoft servers do not delete any data, such as e-mails or files, from OneDrive, and new applications can still be installed.

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Even though the Office 365 admin center has been locked down for administrative users, it is still possible to perform all administrative functions and license new or existing employees. 

Step 2: Disabled

The subscription is ‘Disabled’ for months two through four, which is the second phase in the process. Only admins will be able to access the site at this period. 

They can continue to access the administration center, allowing those in the information technology department to silently create a backup of all of the data kept on Microsoft’s servers. The issuance of new licenses is not possible throughout these 90 days.

The Office 365 account and services connected with it are no longer available to normal users. The programs that have been installed on the computer will be placed in a state of “limited functionality,” which means that the majority of their features and functions will no longer be available.

For example, files can be read, viewed, and printed, but they can no longer be edited or saved after they are opened. It is conceivable that the apps will not start when you attempt to open them from the desktop but that the applications will operate when a specific document has to be accessed. It is still feasible for the global or billing administrator to renew the subscription throughout this period.

Step 3: Deprovisioned

Finally, there comes the ‘Deprovisioned’ stage, which is when you are formally deregistered from the system. Administrators will no longer be allowed to access or utilize the Office 365 services and apps, which implies that backups will no longer be feasible. 

Microsoft will begin deleting all data from the organization on the 121st day from the announcement date. All data will be deleted from the servers within a reasonable amount of time. If it is absolutely important to ensure that the data is deleted as soon as possible, you can request an accelerated unsubscription process. Within three days, all data will be deleted from the servers.

In this scenario, administrators will no longer be able to reinstate subscriptions and access to cloud-based data; as a result, Office apps will be formally canceled. To utilize Office 365 once more, an organization will need to either acquire a new subscription or obtain stand-alone, permanent licenses.

Preventing your Microsoft 365 membership from expiring prematurely by setting up recurring paying can prevent you from losing access to your applications and data. Once regular billing has been established, you will not be required to do anything further. 

During the time that your account is expired or deactivated, you can reactivate your subscription. If, on the other hand, you allow the account to get deprovisioned, you will be required to begin a new subscription to continue using Microsoft 365.

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What happens if I decide to discontinue my membership?

Suppose you cancel your membership before the end of its term. In that case, the subscription skips the Expired stage and proceeds immediately into the Disabled stage, which lasts 90 days for most subscriptions in most countries and areas, depending on the country or territory. 

When you cancel, we recommend that you backup your data before doing so. If you are an administrator, you may still access and back up data for your organization while in a Disabled state. Upon cancellation, any customer data you have left behind will be destroyed after 90 days, and the data will be erased in 180 days following cancellation.

If you decide to cancel your membership, the following is what you and your users may anticipate.

  • Administrative access Administrators can continue to log in and use the administration center, as well as additional purchase memberships as required. The subscription will be reactivated with all data intact for 90 days if you are the global or billing administrator.
  • Access to the system by the user Your users will be unable to access services such as OneDrive for Business or client data, such as emails or documents stored on team sites, during this time. Office apps, such as Word and Excel will ultimately transition into a read-only, limited functionality mode and display Unlicensed Product notices until updated.

If my subscription is set to expire, what are my options?

  • As long as a subscription is in effect, you and your end-users will enjoy normal access to your data, services including email and OneDrive for Business, and Office productivity software. Your subscription’s expiration date will be approaching, and you will get a series of alerts through email and in the admin center as a result of this.
  • You have a few choices if you want to cancel your membership before it reaches its expiration date:
  • If Recurring billing is already enabled, there is no need for you to take any further action. Your membership will be automatically renewed depending on your current payment frequency, and you will be charged for an extra year or month of subscription. If you’ve accidentally turned off recurring payments for any reason, you may always put it back on again.
  • You must contact your reseller to obtain a new product key if you are an Open Volume Licensing customer who has a one-year subscription that has been pre-paid. Following receipt of your key, you will get instructions via email on how to activate it in the Volume Licensing Service Center.
  • If you have Microsoft 365 Apps for Business, you can manage recurring billing for your subscription by visiting Manage recurring billing for your subscription.
  • Allow the subscription to come to an end.
  • When paying by credit card or invoice, you have the option to switch off recurring billing if you do not wish to continue with your membership. Your membership will expire on the date specified in the confirmation email, and you can disregard all associated email alerts.
  • If you are an Open Volume Licensing customer who is working with a partner, you have the option of letting your subscription expire by doing nothing.
  • Unless you take action to renew your Microsoft 365 Business Standard membership, which you paid for and activated using a product key, your subscription will automatically expire if you do nothing.
  • You have until the end of the subscription period to cancel. For further information, please read Cancel your membership.
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What it Means for Your Business to Renew Microsoft Office 365 Subscription

To maintain seamless integration between your documents, procedures, and security standards, you should renew your Microsoft 365 subscription if your business is expected to collaborate with other organizations in the future.

Microsoft 365 has grown even more important as more and more organizations increase their remote working options. Microsoft Office apps such as Outlook, Word, Excel, and PowerPoint are available online and on a desktop computer. Microsoft 365 makes it easier for employees to migrate to a remote work environment while maintaining in-office capabilities.

What Can Terminal B Do for You?

Microsoft Gold Partner Terminal B is one of just 300 Microsoft Direct CSP Partners in the United States, making it one of the most exclusive in the industry. 

For more than a decade, including training services for customers with Microsoft 365 credentials, Microsoft offering productivity cloud solutions to a demanding clientele.

Regardless of your query concerning the cloud or Microsoft 365, Terminal B can provide an answer. We can simplify and streamline your organization’s migration to the cloud, no matter where you are in the process. As your one-stop shop for effortlessly dependable business technology, we can help you get there faster.

Contact Terminal B to schedule a Microsoft Office 365 assessment to see whether or not your organization is prepared to benefit from Microsoft’s strong cloud toolset.

Tip for Saving Money

Check your Microsoft 365 membership now that you know you’ll need to renew it. Many clients of Microsoft are not: Recent study revealed that 56 percent of Microsoft cloud platform licenses are inactive, underused, large, or unassigned for organizations that use the platform. This is a huge waste of money.

Reduce operational costs and manage your Microsoft 365 subscriptions by following these steps:

  • According to the number and kind of licenses you purchase, Microsoft 365 costs a certain amount every month. Profiling your user base will help you save money by ensuring that each user receives a license plan that fits their demands.
  • Since Microsoft 365 is licensed per user, not per device, you may decrease your operating expenses by encouraging your staff to setup the apps on numerous devices.
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